Amaysim Australia Ltd

 

AYS Details
Expects a recovering ARPU for second half of 2017:  Amaysim Australia Ltd (ASX: AYS) has fallen 9.6% on November 30, 2016 at the back of mixed investor day updates. The group expects core mobile business to grow organically adding 58,000 to 60,000 net mobile subscribers in 1H FY17. Further, low-double digit net revenue growth is expected for FY17. On the other side, FY17 ARPU is expected to be lower than FY16 owing to full year impact of Vaya’s lower ARPU subscriber base. However, ARPU is expected to increase in 2H FY17. Underlying mobile operating expenses are also to stay flat against FY16. The group in November 2016 has crossed the milestone of over one million subscribers across the group and is even launching broadband in early 2017. It is expected that in FY 17 the gross profit margins will be over 32% to 33%. Given the prospects expected from Amaysim’s on-going efforts and broadband service, we maintain our “Buy” recommendation on the stock at the current price of – $ 1.96

 
AYS Daily Chart (Source: Thomson Reuters) 

Sirtex Medical Limited

SRX Details
Expanding commercial exploitation of SIR-Spheres® Y-90 microspheres: Sirtex Medical Limited (ASX: SRX) reported that expansion of their commercial exploitation of SIR-Spheres® Y-90 microspheres from over 2% penetration to date, is on a priority. Moreover, SRX is introducing a brand-new platform, the Histone Inhibition Program (HIP), that is moving rapidly to first-in-man clinical studies.

 

FY 16 Financial Performance (Source: Company Reports)
 
SRX is starting Phase 1 clinical study in the first half of CY17. Meanwhile, SRX stock has fallen 15.64% in last three months (as on November 29, 2016) opening an attractive investment opportunity. We give a “Buy” recommendation on the stock at the current price of – $ 27.62

 
SRX Daily Chart (Source: Thomson Reuters) 

Suncorp Group Ltd

SUN Details
Move to offer expanded health insurance range: Suncorp Group Ltd (ASX: SUN) and nib health funds are launching a new private health insurance solutions in Australia through the SUN insurance and AAMI brands in Australia. Recently, the group also launched a new annuity product based out of a white label partnership with Challenger. The product will be offered to customers nationally through Suncorp financial advisors and will help them plan for retirement. Having an attractive dividend yield and a reasonable P/E, we give a “Buy” recommendation on the stock at the current price of – $ 12.50

 
SUN Daily Chart (Source: Thomson Reuters) 

Smart Parking Ltd

SPZ Details
Boosting capital position: Smart Parking Ltd (ASX: SPZ) had announced for retail offer and institutional entitlement offer to raise A$7.9m at an issue price of A$0.20 per share. Overall, the company is raising about A$10.9 million through the placement of shares. The group has now dispatched the entitlement offer booklet. We believe investors need to leverage SPZ stock fall by over 10.4% in the last four weeks (as on November 29, 2016), and based on the foregoing, we give a “Speculative Buy” recommendation on the stock at the current price of – $ 0.26

 
SPZ Daily Chart (Source: Thomson Reuters) 

ChimpChange Limited

CCA Details
Acquisition of the customers is as per target: ChimpChange Ltd (ASX: CCA) recently reported for 33% rise in activation rate of cardholders in November 2016 against February 2016 while the active adoption rate has been up 125%. Similarly, total loads in November 2016 rose to 30%.
 

Acquisitions Trend (Source: Company Reports)
 
In the September quarter, CCA acquired 15,500 new customers, which is in line with the targeted acquisition cost of $25. CCA has target to acquire 25,000 new customers by the end of December 2016 and is on track to deliver this growth. The group had re-negotiated the transaction costs to significantly reduce the cost of goods sold and give a positive gross margin. At the end of the September quarter, CCA had processed over US$20 (A$26 million) in total transactions. We give a “Buy” recommendation on the stock at the current price of – $ 0.57

 
CCA Daily Chart (Source: Thomson Reuters)

SKY and Space Global Ltd

SAS Details
Launching “3 Diamonds” in early Q2 2017: SKY and Space Global Ltd (ASX: SAS) is moving towards the imminent launch of its initial 3 commercial demonstration nano-satellites, the “3 Diamonds”, by early Q2 2017.  Moreover, in January 2017, SAS plans to start its rigorous “in-space” testing of all hardware and software systems as part of pre- launch validation. SAS has recently raised $7 million. We give a “Speculative Buy” recommendation on the stock at the current price of – $ 0.086

 
SAS Daily Chart (Source: Thomson Reuters) 

ApplyDirect Limited

AD1 Details
Alliance with Mercury: ApplyDirect Limited (ASX: AD1) has set-up measures for a seamless integration of its technology platform for large as well as small employers in talent acquisition industry. The group is now making a strategic alliance with Mercury to leverage their solid healthcare presence with more than 50% of health vacancies, 80 million annual job alerts and 500 thousand annual background checks. Healthcare sector comprises over 25% of growth in all jobs to 2020 opening a significant opportunity to AD1. The stock moved up about 3% on November 30, 2016. We give a “Speculative Buy” on the stock at the current price of – $ 0.35

 
AD1 Daily Chart (Source: Thomson Reuters) 

Praemium Ltd

PPS Details
Collaboration with fintech company, OneVue: Praemium Ltd (ASX: PPS) appointed OneVue as its superannuation administration partner which will add 2,700 members and $425 million in assets to OneVue’s superannuation service while PPS will leverage from fast-growing retail superannuation offer. PPS also had finished acquisition of Wensley Mackay Limited, a pension provider in the United Kingdom for £600,000 in cash and the same is expected to be earnings accretive in the first year. Moreover, PPS has reported inflows for the September 2016 quarter of $494 million to be the highest on record. The international funds under administration (FUA) is now over £1 billion. Additionally, the Smart Investment Management (Smart^im) assets grew 60% on last year to £288 million and the overall SMA FUA is above $5 billion. Therefore, FUA has grown 35% in a year.
 

Gross Inflows and FUA (Source: Company Reports)
 
The growth in the FUA during the September quarter is due to the asset inflows, positive equity market movements and generally improved trading conditions. PPS stock has risen 32.31% in the last six months as on November 29, 2016 and still we give a “Buy” recommendation on the stock at the current price of – $ 0.43

 
PPS Daily Chart (Source: Thomson Reuters) 

Galaxy Resources Limited

GXY Details
First shipment to customers is expected by the end of December 2016: Galaxy Resources Limited’s (ASX: GXY) Mt Cattlin is progressing as planned and the trucking of lithium concentrate production to Esperance port is expected to begin by the end of this week with the first shipment to customers to be achieved by the end of December 2016. The group has given formal instruction to Mitsubishi Corp to nominate the vessel for first shipment of final product. Moreover, GXY has awarded the mining contract for the Mt Cattlin Spodumene Project to Piacentini & Son Pty Ltd, which is expected to start work in early December. Trading at a very cheap P/E, we give a “Buy” recommendation on the stock at the current price of – $ 0.43

 
GXY Daily Chart (Source: Thomson Reuters) 

Lepidico Limited (Platypus Minerals Ltd)

LPD Details
Confirmed High-Grade Lithium from diamond drill Results at Lemare: Lepidico Ltd, earlier known as Platypus Minerals Ltd PLP, (ASX: LPD) along with Critical Elements Corporation reported positive results from the Stage 1 exploration program which finished at the Lemare spodumene pegmatite located at James Bay lithium district in Quebec, Canada. The diamond drilling indicated the presence of a high grade spodumene pegmatite. LPD had appointed Ms Shontel Norgate as its Chief Financial Officer, who is also now the Joint Company Secretary. The stock is up 15.38% on November 30, 2016. We give a “Speculative Buy” recommendation on the stock at the current price of – $ 0.015

 
LPD Daily Chart (Source: Thomson Reuters)

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